Maxxam Group Inc.

November 12, 1985|By Deanne Brandon

MERGER ON HOLD. Maxxam Group Inc. said Monday it has been tendered enough shares of Pacific Lumber Co. to gain control. But Maxxam, a privately held investment company, has been prohibited from buying the tendered shares. Two Pacific Lumber stockholders filed a class-action lawsuit challenging the acquisition, and a California Superior Court judge said last week he would hear their arguments Nov. 25. Maxxam agreed two weeks ago to take over San Francisco-based Pacific Lumber, a forest-products company, for $40 a share, or $872 million. The lawsuit alleges that the price is inadequate.